Korea Hydro & Nuclear Power (KHNP) signed a shareholder agreement with Korea Overseas Infrastructure & Urban Development Corp (KIND), S Energy, and Hanyang Electric at COEX in Seoul on Sept. 25 for joint investment in a solar power project in Chile.
The consortium is promoting a 6.6MW solar power plant in Guadalupe and a 6.4MW plant in Maria Pinto, both near Santiago, the capital of Chile. KHNP aims to start construction within this year for completion in 2021. It will operate the two plants for 25 years starting 2021. This will mark the first time KHNP makes inroads into South America.
In particular, KHNP can expect additional profits from the project by securing carbon emission rights under the Clean Development Mechanism (CDM).
KHNP has been promoting this project to tap into the South American renewable energy market. It plans to expand its overseas renewable energy projects through partnerships with small and medium-sized Korean companies.